Patterson-UTI Energy Reports Financial Results for the Quarter Ended June 30, 2025
Patterson-UTI Energy (NASDAQ:PTEN) reported Q2 2025 financial results with total revenue of $1.2 billion and a net loss of $49 million, which included a $28 million non-cash asset impairment from Colombian operations. The company achieved Adjusted EBITDA of $231 million and returned $46 million to shareholders through dividends and buybacks.
Key operational highlights include 9,465 U.S. Contract Drilling operating days with an average of 104 rigs working in Q2. The Completion Services segment generated $719 million in revenue, while Drilling Products contributed $88 million. The company maintains $312 million in future dayrate drilling revenue from term contracts and expects to operate an average of 48 rigs under term contracts in Q3 2025.
Looking ahead, Patterson-UTI anticipates Q3 2025 rig count in the mid-90s and projects capital expenditures below $600 million for 2025. The company continues to invest in drilling automation technologies and digital solutions while maintaining strong liquidity.
Patterson-UTI Energy (NASDAQ:PTEN) ha riportato i risultati finanziari del secondo trimestre 2025 con un fatturato totale di 1,2 miliardi di dollari e una perdita netta di 49 milioni di dollari, che include una svalutazione non monetaria di 28 milioni derivante dalle operazioni in Colombia. L'azienda ha registrato un EBITDA rettificato di 231 milioni di dollari e ha restituito 46 milioni agli azionisti tramite dividendi e riacquisti di azioni.
I principali dati operativi evidenziano 9.465 giorni operativi di perforazione a contratto negli Stati Uniti con una media di 104 piattaforme attive nel secondo trimestre. Il segmento Completion Services ha generato ricavi per 719 milioni di dollari, mentre Drilling Products ha contribuito con 88 milioni. L'azienda detiene 312 milioni di dollari di ricavi futuri da perforazioni a tariffa giornaliera derivanti da contratti a termine e prevede di operare una media di 48 piattaforme sotto contratto nel terzo trimestre 2025.
Guardando al futuro, Patterson-UTI prevede un numero di piattaforme nel terzo trimestre 2025 nella metà degli anni '90 e stima spese in conto capitale inferiori a 600 milioni di dollari per il 2025. L'azienda continua a investire in tecnologie di automazione della perforazione e soluzioni digitali, mantenendo una solida liquidità.
Patterson-UTI Energy (NASDAQ:PTEN) reportó los resultados financieros del segundo trimestre de 2025 con ingresos totales de 1.200 millones de dólares y una pérdida neta de 49 millones de dólares, que incluyó una depreciación no monetaria de 28 millones por las operaciones en Colombia. La compañía alcanzó un EBITDA ajustado de 231 millones de dólares y devolvió 46 millones a los accionistas mediante dividendos y recompras de acciones.
Los aspectos operativos clave incluyen 9,465 días operativos de perforación por contrato en EE.UU. con un promedio de 104 plataformas en funcionamiento durante el segundo trimestre. El segmento de Servicios de Terminación generó ingresos por 719 millones, mientras que Productos de Perforación aportaron 88 millones. La empresa mantiene 312 millones en ingresos futuros por perforación a tarifa diaria provenientes de contratos a plazo y espera operar un promedio de 48 plataformas bajo contrato en el tercer trimestre de 2025.
De cara al futuro, Patterson-UTI anticipa un conteo de plataformas en el tercer trimestre de 2025 en la mitad de los 90 y proyecta gastos de capital por debajo de 600 millones para 2025. La compañía continúa invirtiendo en tecnologías de automatización de perforación y soluciones digitales, manteniendo una sólida liquidez.
Patterson-UTI Energy (NASDAQ:PTEN)는 2025년 2분기 재무 실적을 발표하며 총 매출 12억 달러와 4900만 달러의 순손실을 기록했으며, 이 중 2800만 달러는 콜롬비아 사업에서 발생한 비현금성 자산 손상차손입니다. 회사는 조정 EBITDA 2억 3100만 달러를 달성했으며, 배당금과 자사주 매입을 통해 주주에게 4600만 달러를 환원했습니다.
주요 운영 하이라이트로는 미국 계약 시추 운영일수 9,465일과 2분기 평균 104대의 장비 가동이 포함됩니다. Completion Services 부문은 7억 1,900만 달러의 매출을 기록했고, Drilling Products 부문은 8,800만 달러를 기여했습니다. 회사는 계약에 따른 향후 일일 시추 수익 3억 1,200만 달러를 유지하고 있으며, 2025년 3분기에는 계약 기반으로 평균 48대의 장비를 운영할 것으로 예상합니다.
앞으로 Patterson-UTI는 2025년 3분기 장비 수가 90대 중반일 것으로 예상하며, 2025년 자본 지출을 6억 달러 미만으로 계획하고 있습니다. 또한 시추 자동화 기술과 디지털 솔루션에 지속 투자하면서 강력한 유동성을 유지하고 있습니다.
Patterson-UTI Energy (NASDAQ:PTEN) a publié ses résultats financiers du deuxième trimestre 2025 avec un chiffre d'affaires total de 1,2 milliard de dollars et une perte nette de 49 millions de dollars, incluant une dépréciation d'actifs non monétaire de 28 millions liée aux opérations en Colombie. La société a réalisé un EBITDA ajusté de 231 millions de dollars et a reversé 46 millions aux actionnaires via dividendes et rachats d'actions.
Les faits marquants opérationnels comprennent 9 465 jours d'exploitation de forage sous contrat aux États-Unis avec une moyenne de 104 plateformes actives au deuxième trimestre. Le segment des services de complétion a généré 719 millions de dollars de revenus, tandis que les produits de forage ont contribué pour 88 millions. La société dispose de 312 millions de dollars de revenus futurs de forage à tarif journalier issus de contrats à terme et prévoit d'exploiter en moyenne 48 plateformes sous contrat au troisième trimestre 2025.
Pour l'avenir, Patterson-UTI anticipe un nombre de plateformes au troisième trimestre 2025 dans la mi-90 et projette des dépenses d'investissement inférieures à 600 millions de dollars pour 2025. L'entreprise continue d'investir dans les technologies d'automatisation du forage et les solutions numériques tout en maintenant une forte liquidité.
Patterson-UTI Energy (NASDAQ:PTEN) meldete die Finanzergebnisse für das zweite Quartal 2025 mit Gesamtumsatz von 1,2 Milliarden US-Dollar und einem Nettoverlust von 49 Millionen US-Dollar, der eine nicht zahlungswirksame Wertminderung von 28 Millionen aus den kolumbianischen Betrieben beinhaltete. Das Unternehmen erzielte ein bereinigtes EBITDA von 231 Millionen US-Dollar und gab 46 Millionen US-Dollar in Form von Dividenden und Aktienrückkäufen an die Aktionäre zurück.
Wichtige operative Highlights umfassen 9.465 Betriebstage im US-Vertragsbohrgeschäft mit durchschnittlich 104 aktiven Bohranlagen im zweiten Quartal. Der Bereich Completion Services erzielte Einnahmen von 719 Millionen US-Dollar, während Drilling Products 88 Millionen beitrugen. Das Unternehmen hält 312 Millionen US-Dollar an zukünftigen Tagesraten-Einnahmen aus Terminkontrakten und erwartet, im dritten Quartal 2025 durchschnittlich 48 Bohranlagen unter Terminkontrakten zu betreiben.
Mit Blick auf die Zukunft erwartet Patterson-UTI eine Bohranlagendichte Mitte der 90er im dritten Quartal 2025 und prognostiziert Investitionsausgaben unter 600 Millionen US-Dollar für 2025. Das Unternehmen investiert weiterhin in Bohrautomatisierungstechnologien und digitale Lösungen und hält eine starke Liquidität aufrecht.
- Returned $46 million to shareholders through dividends and share repurchases
- Strong $231 million Adjusted EBITDA performance
- Secured $312 million in future dayrate drilling revenue from term contracts
- Successfully deployed proprietary Vertex™ frac pump controls automation
- Achieved record U.S. revenue per industry rig in Drilling Products segment
- Maintained strong balance sheet with low leverage and robust liquidity
- Reported net loss of $49 million in Q2 2025
- Incurred $28 million non-cash asset impairment for Colombian operations
- Expected decline in rig count to mid-90s in Q3 2025
- Experiencing customer caution due to macroeconomic uncertainties
- Facing industry-wide challenges from oil market volatility
Insights
Patterson-UTI posted mixed Q2 results with $1.2B revenue and $49M net loss amid cautious industry conditions and technology investments.
Patterson-UTI Energy delivered $1.2 billion in Q2 2025 revenue but recorded a net loss of $49 million, which included a $28 million non-cash impairment for Colombian operations. The $231 million in Adjusted EBITDA demonstrates underlying operational strength despite challenging market conditions. The company maintained its $0.08 per share quarterly dividend and repurchased $16 million in shares, reflecting commitment to shareholder returns despite industry headwinds.
The quarterly results reveal a nuanced picture across segments. Drilling Services generated $404 million in revenue with $149 million adjusted gross profit, operating 104 rigs with 9,465 U.S. operating days. Completion Services contributed $719 million in revenue with $100 million adjusted gross profit. Drilling Products added $88 million in revenue with an impressive $39 million adjusted gross profit, showcasing strong margins in this higher-value segment.
Management's outlook suggests a challenging third quarter with rig count expected to decline to mid-90s from the current 104. This anticipated reduction aligns with cautious customer spending amid oil market volatility. However, Patterson-UTI's $312 million backlog of term contracts provides some revenue visibility through mid-2026. The company has reduced its 2025 capital expenditure guidance to under $600 million, demonstrating capital discipline while continuing to invest in technology.
The company's strategic focus on technology differentiation through proprietary solutions like Cortex
HOUSTON, TX / ACCESS Newswire / July 23, 2025 / PATTERSON-UTI ENERGY, INC. (NASDAQ:PTEN) today reported financial results for the quarter ended June 30, 2025.
Second Quarter 2025 Financial Results and Other Key Items
Total revenue of
$1.2 billion Net loss attributable to common stockholders of
$49 million Included a
$28 million non-cash asset impairment related to our Colombian drilling operations
Adjusted EBITDA of
$231 million Returned
$46 million to shareholders in the second quarter through an$0.08 per share dividend and$16 million in share repurchasesDeclared a quarterly dividend of
$0.08 per share, payable on September 15, 2025 to holders of record as of September 2, 2025
Management Commentary
"Our second quarter activity was in line with the market, and at the same time we see opportunities with our operational footprint, technology portfolio, and financial position to improve our market position in both drilling and completions," said Andy Hendricks, Chief Executive Officer. "As customer strategies increasingly emphasize technology-driven solutions that extend beyond just the capital equipment into automation and digital services, the investments we have made have positioned Patterson-UTI to deliver differentiated value. The growing collaboration among our Drilling Services, Drilling Products, and Completion Services teams, integrated through our PTEN Digital Performance Center, enhances our ability to financially outperform our peers. We remain focused on growing our digital and product portfolio to uniquely help our customers operate more safely and efficiently while also generating meaningful free cash flow for our investors."
"Oil market volatility increased in the second quarter, driven by evolving trade policies and OPEC+ signaling its desire to reclaim market share," continued Mr. Hendricks. "While current oil prices would typically support higher drilling and completions activity than we are seeing today, our customers have remained cautious as macroeconomic uncertainties persist. We believe if oil directed activity does not recover from current levels, we will likely see a larger negative impact on U.S. oil production than we have seen so far, which is encouraging for our longer-term outlook relative to current activity levels. In natural gas basins, activity improved slightly in the second quarter and has remained steady into the third quarter. We are having increased conversations around additional natural gas directed activity as we approach 2026, and we continue to see long-term upside to natural gas directed activity as U.S. producers look to satisfy both rising domestic demand and growing global demand for U.S. LNG."
"Our balance sheet remains a key strategic advantage, with low leverage and strong liquidity," said Andy Smith, Chief Financial Officer. "This gives us the flexibility to explore multiple capital allocation avenues to position the company to lead the industry over the long-term. We expect free cash flow will accelerate in the second half of 2025, and a disciplined approach to capital allocation should lead to higher returns and drive long-term value for our shareholders."
Drilling Services
During the second quarter, our Drilling Services segment revenue totaled
Activity in our U.S. Contract Drilling business during the second quarter largely tracked industry trends, with our Permian Basin rig count showing the largest change relative to the prior quarter. Our total rig count in natural gas basins in Appalachia and the Haynesville has increased slightly from the start of the second quarter. Within the remainder of our Drilling Services segment, our directional drilling revenue was higher, sequentially, driven by strong service and product quality, resulting in additional market penetration even on overall lower industry activity.
"Our U.S. Contract Drilling business had higher sequential revenue from drilling automation technologies," said Mr. Hendricks. "We are seeing growing demand for our proprietary products that enhance the drilling process, including our Cortex ® Automation Platform, which enables our advanced machine-learning auto driller application, and our cloud-based, REX ® early alert, field monitoring system. These products should help support a broader customer base as we continue to advance our use of artificial intelligence to improve our operations. Acceptance of these technologies increases the long-term sustainability of customer relationships, and we see a growing performance advantage with our highest performing rigs compared to other capital equipment in the market that lacks the technological capabilities of our digital suite of products."
As of June 30, 2025, the Company had term contracts for drilling rigs in the United States providing for future dayrate drilling revenue of approximately
Completion Services
Second quarter Completion Services revenue totaled
Our fleet of Emerald™
"We achieved key milestones on several technology initiatives, including automated hydraulic fracturing, as we build the foundation of our differentiated EOS Completions Platform™, which includes our Vertex™ frac automation, real-time cloud-based data feeds through our FleetStream™ digital solution, and our Lateral-Science SM machine learning application that leverages our drilling data to interpret rock properties," said Mr. Hendricks. "We successfully deployed our proprietary Vertex™ frac pump controls automation in both the Bakken and Appalachia during the quarter, and we are on track to complete fleet-wide deployment of this technology by the end of 2025. Through our PTEN Digital Performance Center, our Completion Services segment continues to make significant strides to uniquely help our customers better plan, execute and optimize completions designs based on real-time information. We expect strong returns on these investments and believe they have positioned our company as a long-term technology leader in the completions industry."
Drilling Products
Second quarter Drilling Products revenue totaled
Revenue in the United States was higher, sequentially, with the Drilling Products segment delivering another quarter of record U.S. revenue per U.S. industry rig. We continue to benefit from an increase in performance-based agreements with customers, which is gaining momentum as customers focus on technologies that can help lower well costs. We experienced growth in our U.S. business across several key regions.
International revenue was steady, sequentially, with gains in key markets, including in the Middle East. In Canada, which is just under
The Drilling Products business continued to penetrate several offshore markets including the North Sea, Gulf of America, and Guyana.
Other
During the second quarter, Other revenue totaled
Outlook
Within the Drilling Services segment for the third quarter, we expect our average rig count will be in the mid-90s, with the sequential change driven by moderating activity in oil basins compared to the second quarter and steady activity in natural gas basins. We expect adjusted gross profit within the Drilling Services segment to be approximately
In our Completion Services segment for the third quarter, we expect activity to be steady compared to the second quarter, with a relatively full calendar for our equipment. We expect third quarter Completion Services adjusted gross profit to remain steady with the second quarter.
In our Drilling Products segment for the third quarter, we expect adjusted gross profit will improve slightly, sequentially. The Canadian market should resume normal activity following the second quarter seasonal spring breakup, and we see slight gains in our International markets, partially offset by lower industry drilling activity in the United States. We expect this segment to realize a higher adjusted gross profit margin percentage in the second half of the year relative to the first half.
We expect Other adjusted gross profit in the third quarter to be roughly flat compared to the second quarter.
For the third quarter, we expect selling, general and administrative expense to decline slightly compared to the second quarter, and we expect depreciation, depletion, amortization, and impairment expense of approximately
We expect capital expenditures, net of proceeds from the sale of assets, of less than
All references to "per share" in this press release are diluted earnings per common share as defined within Accounting Standards Codification Topic 260.
Second Quarter Earnings Conference Call
The Company's quarterly conference call to discuss the operating results for the quarter ended June 30, 2025, is scheduled for July 24, 2025, at 9:00 a.m. Central Time. The dial-in information for participants is (800) 715-9871 (Domestic) and (646) 307-1963 (International). The conference ID for both numbers is 5625191. The call is also being webcast and can be accessed through the Investor Relations section of the Company's website at investor.patenergy.com. A replay of the conference call will be on the Company's website for two weeks.
About Patterson-UTI
Patterson-UTI is a leading provider of drilling and completion services to oil and natural gas exploration and production companies in the United States and other select countries, including contract drilling services, integrated well completion services and directional drilling services in the United States, and specialized bit solutions in the United States, Middle East and many other regions around the world. For more information, visit www.patenergy.com.
Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements which are protected as forward-looking statements under the Private Securities Litigation Reform Act of 1995 that are not limited to historical facts, but reflect Patterson-UTI's current beliefs, expectations or intentions regarding future events. Words such as "anticipate," "believe," "budgeted," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "pursue," "see," "should," "strategy" "target," or "will," and similar expressions are intended to identify such forward-looking statements. The statements in this press release that are not historical statements, including statements regarding Patterson-UTI's future expectations, beliefs, plans, objectives, financial conditions, assumptions or future events or performance that are not historical facts, are forward-looking statements within the meaning of the federal securities laws. These statements are subject to numerous risks and uncertainties, many of which are beyond Patterson-UTI's control, which could cause actual results to differ materially from the results expressed or implied by the statements. These risks and uncertainties include, but are not limited to: adverse oil and natural gas industry conditions, including the impact of commodity price volatility on industry outlook; global economic conditions, including inflationary pressures and risks of economic downturns or recessions in the United States and elsewhere; volatility in customer spending and in oil and natural gas prices that could adversely affect demand for Patterson-UTI's services and their associated effect on rates; excess supply of drilling and completions equipment, including as a result of reactivation, improvement or construction; competition and demand for Patterson-UTI's services; the impact of the ongoing Ukraine/Russia and Middle East conflicts and instability in other international regions; strength and financial resources of competitors; utilization, margins and planned capital expenditures; ability to obtain insurance coverage on commercially reasonable terms and liabilities from operational risks for which Patterson-UTI does not have and receive full indemnification or insurance; operating hazards attendant to the oil and natural gas business; failure by customers to pay or satisfy their contractual obligations (particularly with respect to fixed-term contracts); the ability to realize backlog; specialization of methods, equipment and services and new technologies, including the ability to develop and obtain satisfactory returns from new technology and the risk of obsolescence of existing technologies; the ability to attract and retain management and field personnel; loss of key customers; shortages, delays in delivery, and interruptions in supply, of equipment and materials; cybersecurity events; difficulty in building and deploying new equipment; complications with the design or implementation of Patterson-UTI's new enterprise resource planning system; governmental regulation, including climate legislation, regulation and other related risks; environmental, social and governance practices, including the perception thereof; environmental risks and ability to satisfy future environmental costs; technology-related disputes; legal proceedings and actions by governmental or other regulatory agencies; changes to tax, tariff and import/export regulations and sanctions by the United States or other countries, including the impacts of any sustained escalation or changes in tariff levels or trade-related disputes; the ability to effectively identify and enter new markets or pursue strategic acquisitions; public health crises, pandemics and epidemics; weather; operating costs; expansion and development trends of the oil and natural gas industry; financial flexibility, including availability of capital and the ability to repay indebtedness when due; adverse credit and equity market conditions; our return of capital to stockholders, including timing and amounts (including any plans or commitments in respect thereof) of any dividends and share repurchases; stock price volatility; and compliance with covenants under Patterson-UTI's debt agreements.
Additional information concerning factors that could cause actual results to differ materially from those in the forward-looking statements is contained from time to time in Patterson-UTI's SEC filings. Patterson-UTI's filings may be obtained by contacting Patterson-UTI or the SEC or through Patterson-UTI's website at http://www.patenergy.com or through the SEC's Electronic Data Gathering and Analysis Retrieval System (EDGAR) at http://www.sec.gov. Patterson-UTI undertakes no obligation to publicly update or revise any forward-looking statement.
PATTERSON-UTI ENERGY, INC.
Condensed Consolidated Balance Sheets
(unaudited, in thousands)
June 30, | December 31, 2024 | |||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash, cash equivalents and restricted cash | $ | 185,891 | $ | 241,293 | ||||
Accounts receivable, net | 770,901 | 763,806 | ||||||
Inventory | 163,687 | 167,023 | ||||||
Other current assets | 120,644 | 123,193 | ||||||
Total current assets | 1,241,123 | 1,295,315 | ||||||
Property and equipment, net | 2,835,432 | 3,010,342 | ||||||
Goodwill | 487,388 | 487,388 | ||||||
Intangible assets, net | 871,950 | 929,610 | ||||||
Other assets | 139,727 | 110,811 | ||||||
Total assets | $ | 5,575,620 | $ | 5,833,466 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 426,509 | $ | 421,318 | ||||
Accrued liabilities | 261,653 | 385,751 | ||||||
Other current liabilities | 28,310 | 34,924 | ||||||
Total current liabilities | 716,472 | 841,993 | ||||||
Long-term debt, net | 1,220,398 | 1,219,770 | ||||||
Deferred tax liabilities, net | 240,142 | 238,097 | ||||||
Other liabilities | 49,935 | 57,762 | ||||||
Total liabilities | 2,226,947 | 2,357,622 | ||||||
Stockholders' equity: | ||||||||
Stockholders' equity attributable to controlling interests | 3,342,345 | 3,465,823 | ||||||
Noncontrolling interest | 6,328 | 10,021 | ||||||
Total equity | 3,348,673 | 3,475,844 | ||||||
Total liabilities and stockholders' equity | $ | 5,575,620 | $ | 5,833,466 | ||||
PATTERSON-UTI ENERGY, INC.
Condensed Consolidated Statements of Operations
(unaudited, in thousands, except per share data)
Three Months Ended | Six Months Ended | |||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | |||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | ||||||||||||||||
REVENUES | $ | 1,219,320 | $ | 1,280,537 | $ | 1,348,194 | $ | 2,499,857 | $ | 2,858,554 | ||||||||||
COSTS AND EXPENSES: | ||||||||||||||||||||
Direct operating costs | 929,363 | 961,414 | 971,164 | 1,890,777 | 2,048,303 | |||||||||||||||
Depreciation, depletion, amortization and impairment | 261,858 | 231,866 | 267,638 | 493,724 | 542,594 | |||||||||||||||
Selling, general and administrative | 64,108 | 66,930 | 64,578 | 131,038 | 129,562 | |||||||||||||||
Merger and integration expense | 488 | 432 | 10,645 | 920 | 22,878 | |||||||||||||||
Other operating expense (income), net | (7,011 | ) | 2,950 | (11,059 | ) | (4,061 | ) | (17,010 | ) | |||||||||||
Total operating costs and expenses | 1,248,806 | 1,263,592 | 1,302,966 | 2,512,398 | 2,726,327 | |||||||||||||||
OPERATING INCOME (LOSS) | (29,486 | ) | 16,945 | 45,228 | (12,541 | ) | 132,227 | |||||||||||||
OTHER INCOME (EXPENSE): | ||||||||||||||||||||
Interest income | 1,272 | 1,464 | 1,867 | 2,736 | 4,056 | |||||||||||||||
Interest expense, net of amount capitalized | (17,645 | ) | (17,697 | ) | (17,913 | ) | (35,342 | ) | (36,248 | ) | ||||||||||
Other income (expense) | (1,644 | ) | 1,968 | 224 | 324 | 1,074 | ||||||||||||||
Total other expense | (18,017 | ) | (14,265 | ) | (15,822 | ) | (32,282 | ) | (31,118 | ) | ||||||||||
INCOME (LOSS) BEFORE INCOME TAXES | (47,503 | ) | 2,680 | 29,406 | (44,823 | ) | 101,109 | |||||||||||||
INCOME TAX EXPENSE | 1,194 | 1,390 | 17,785 | 2,584 | 37,782 | |||||||||||||||
NET INCOME (LOSS) | (48,697 | ) | 1,290 | 11,621 | (47,407 | ) | 63,327 | |||||||||||||
NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTEREST | 447 | 285 | 544 | 732 | 1,015 | |||||||||||||||
NET INCOME (LOSS) ATTRIBUTABLE TO COMMON STOCKHOLDERS | $ | (49,144 | ) | $ | 1,005 | $ | 11,077 | $ | (48,139 | ) | $ | 62,312 | ||||||||
NET INCOME (LOSS) ATTRIBUTABLE TO COMMON STOCKHOLDERS PER COMMON SHARE: | ||||||||||||||||||||
Basic | $ | (0.13 | ) | $ | 0.00 | $ | 0.03 | $ | (0.12 | ) | $ | 0.15 | ||||||||
Diluted | $ | (0.13 | ) | $ | 0.00 | $ | 0.03 | $ | (0.12 | ) | $ | 0.15 | ||||||||
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING: | ||||||||||||||||||||
Basic | 385,365 | 386,521 | 399,558 | 385,940 | 403,870 | |||||||||||||||
Diluted | 385,365 | 387,044 | 399,558 | 385,940 | 403,870 | |||||||||||||||
CASH DIVIDENDS PER COMMON SHARE | $ | 0.08 | $ | 0.08 | $ | 0.08 | $ | 0.16 | $ | 0.16 | ||||||||||
PATTERSON-UTI ENERGY, INC.
Condensed Consolidated Statements of Cash Flows
(unaudited, in thousands)
Six Months Ended | ||||||||
June 30, | ||||||||
2025 | 2024 | |||||||
Cash flows from operating activities: | ||||||||
Net income (loss) | $ | (47,407 | ) | $ | 63,327 | |||
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||||||||
Depreciation, depletion, amortization and impairment | 493,724 | 542,594 | ||||||
Deferred income tax expense | 1,704 | 36,252 | ||||||
Stock-based compensation | 21,867 | 22,864 | ||||||
Net gain on asset disposals | (973 | ) | (6,689 | ) | ||||
Other | (1,972 | ) | 6,087 | |||||
Changes in operating assets and liabilities | (119,053 | ) | (101,022 | ) | ||||
Net cash provided by operating activities | 347,890 | 563,413 | ||||||
Cash flows from investing activities: | ||||||||
Purchases of property and equipment | (306,037 | ) | (357,449 | ) | ||||
Proceeds from disposal of assets, including insurance claims | 28,344 | 9,321 | ||||||
Other | (11,514 | ) | (1,376 | ) | ||||
Net cash used in investing activities | (289,207 | ) | (349,504 | ) | ||||
Cash flows from financing activities: | ||||||||
Purchases of treasury stock | (35,849 | ) | (230,202 | ) | ||||
Dividends paid | (61,619 | ) | (64,368 | ) | ||||
Payments of finance leases | (4,432 | ) | (31,905 | ) | ||||
Other | (10,820 | ) | (6,063 | ) | ||||
Net cash used in financing activities | (112,720 | ) | (332,538 | ) | ||||
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash | (1,365 | ) | 985 | |||||
Net decrease in cash, cash equivalents and restricted cash | (55,402 | ) | (117,644 | ) | ||||
Cash, cash equivalents and restricted cash at beginning of period | 241,293 | 192,680 | ||||||
Cash, cash equivalents and restricted cash at end of period | $ | 185,891 | $ | 75,036 | ||||
PATTERSON-UTI ENERGY, INC.
Additional Financial and Operating Data
(unaudited, dollars in thousands)
Three Months Ended | Six Months Ended | |||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | |||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | ||||||||||||||||
Drilling Services | ||||||||||||||||||||
Revenues | $ | 403,805 | $ | 412,860 | $ | 440,289 | $ | 816,665 | $ | 897,862 | ||||||||||
Direct operating costs | $ | 254,772 | $ | 247,629 | $ | 261,497 | $ | 502,401 | $ | 533,234 | ||||||||||
Adjusted gross profit (1) | $ | 149,033 | $ | 165,231 | $ | 178,792 | $ | 314,264 | $ | 364,628 | ||||||||||
Depreciation, amortization and impairment | $ | 112,647 | $ | 84,972 | $ | 98,607 | $ | 197,619 | $ | 190,952 | ||||||||||
Selling, general and administrative | $ | 4,152 | $ | 3,945 | $ | 4,073 | $ | 8,097 | $ | 7,952 | ||||||||||
Other operating income, net | $ | (8,368 | ) | $ | - | $ | - | $ | (8,368 | ) | $ | - | ||||||||
Operating income | $ | 40,602 | $ | 76,314 | $ | 76,112 | $ | 116,916 | $ | 165,724 | ||||||||||
Operating days - U.S. (2) | 9,465 | 9,573 | 10,388 | 19,038 | 21,412 | |||||||||||||||
Capital expenditures | $ | 55,174 | $ | 73,458 | $ | 58,426 | $ | 128,632 | $ | 141,219 | ||||||||||
Completion Services | ||||||||||||||||||||
Revenues | $ | 719,332 | $ | 766,080 | $ | 805,373 | $ | 1,485,412 | $ | 1,750,370 | ||||||||||
Direct operating costs | $ | 619,083 | $ | 657,681 | $ | 653,240 | $ | 1,276,764 | $ | 1,398,834 | ||||||||||
Adjusted gross profit (1) | $ | 100,249 | $ | 108,399 | $ | 152,133 | $ | 208,648 | $ | 351,536 | ||||||||||
Depreciation, amortization and impairment | $ | 119,774 | $ | 115,826 | $ | 138,693 | $ | 235,600 | $ | 287,373 | ||||||||||
Selling, general and administrative | $ | 9,723 | $ | 11,409 | $ | 10,637 | $ | 21,132 | $ | 21,601 | ||||||||||
Other operating income, net | $ | - | $ | - | $ | (7,922 | ) | $ | - | $ | (17,792 | ) | ||||||||
Operating income (loss) | $ | (29,248 | ) | $ | (18,836 | ) | $ | 10,725 | $ | (48,084 | ) | $ | 60,354 | |||||||
Capital expenditures | $ | 68,985 | $ | 62,173 | $ | 48,728 | $ | 131,158 | $ | 172,105 | ||||||||||
Drilling Products | ||||||||||||||||||||
Revenues | $ | 88,390 | $ | 85,663 | $ | 86,054 | $ | 174,053 | $ | 176,027 | ||||||||||
Direct operating costs | $ | 49,335 | $ | 46,940 | $ | 46,147 | $ | 96,275 | $ | 94,777 | ||||||||||
Adjusted gross profit (1) | $ | 39,055 | $ | 38,723 | $ | 39,907 | $ | 77,778 | $ | 81,250 | ||||||||||
Depreciation, amortization and impairment | $ | 23,584 | $ | 22,876 | $ | 23,176 | $ | 46,460 | $ | 50,358 | ||||||||||
Selling, general and administrative | $ | 8,651 | $ | 9,119 | $ | 8,092 | $ | 17,770 | $ | 15,753 | ||||||||||
Operating income | $ | 6,820 | $ | 6,728 | $ | 8,639 | $ | 13,548 | $ | 15,139 | ||||||||||
Capital expenditures | $ | 15,252 | $ | 18,222 | $ | 13,958 | $ | 33,474 | $ | 29,544 | ||||||||||
Other (3) | ||||||||||||||||||||
Revenues | $ | 7,793 | $ | 15,934 | $ | 16,478 | $ | 23,727 | $ | 34,295 | ||||||||||
Direct operating costs | $ | 6,173 | $ | 9,164 | $ | 10,280 | $ | 15,337 | $ | 21,458 | ||||||||||
Adjusted gross profit (1) | $ | 1,620 | $ | 6,770 | $ | 6,198 | $ | 8,390 | $ | 12,837 | ||||||||||
Depreciation, depletion, amortization and impairment | $ | 3,538 | $ | 6,336 | $ | 5,512 | $ | 9,874 | $ | 10,923 | ||||||||||
Selling, general and administrative | $ | 82 | $ | 204 | $ | 253 | $ | 286 | $ | 493 | ||||||||||
Operating income (loss) | $ | (2,000 | ) | $ | 230 | $ | 433 | $ | (1,770 | ) | $ | 1,421 | ||||||||
Capital expenditures | $ | 1,802 | $ | 3,596 | $ | 9,213 | $ | 5,398 | $ | 13,010 | ||||||||||
Corporate | ||||||||||||||||||||
Depreciation | $ | 2,315 | $ | 1,856 | $ | 1,650 | $ | 4,171 | $ | 2,988 | ||||||||||
Selling, general and administrative | $ | 41,500 | $ | 42,253 | $ | 41,523 | $ | 83,753 | $ | 83,763 | ||||||||||
Merger and integration expense | $ | 488 | $ | 432 | $ | 10,645 | $ | 920 | $ | 22,878 | ||||||||||
Other operating expense, net | $ | 1,357 | $ | 2,950 | $ | (3,137 | ) | $ | 4,307 | $ | 782 | |||||||||
Capital expenditures | $ | 2,993 | $ | 4,382 | $ | 183 | $ | 7,375 | $ | 1,571 | ||||||||||
Total Capital Expenditures | $ | 144,206 | $ | 161,831 | $ | 130,508 | $ | 306,037 | $ | 357,449 | ||||||||||
Adjusted gross profit is defined as revenues less direct operating costs (excluding depreciation, depletion, amortization and impairment expense). See Non-GAAP Financial Measures below for a reconciliation of GAAP gross profit to adjusted gross profit by segment.
Operational data relates to our contract drilling business. A rig is considered to be operating if it is earning revenue pursuant to a contract on a given day.
Other includes our oilfield rentals business, prior to its divestiture in April 2025, and oil and natural gas working interests.
PATTERSON-UTI ENERGY, INC.
Non-GAAP Financial Measures
Adjusted EBITDA
(unaudited, dollars in thousands)
Three Months Ended | Six Months Ended | |||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | |||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | ||||||||||||||||
Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization (Adjusted EBITDA) (1) : | ||||||||||||||||||||
Net income (loss) | $ | (48,697 | ) | $ | 1,290 | $ | 11,621 | $ | (47,407 | ) | $ | 63,327 | ||||||||
Income tax expense | 1,194 | 1,390 | 17,785 | 2,584 | 37,782 | |||||||||||||||
Net interest expense | 16,373 | 16,233 | 16,046 | 32,606 | 32,192 | |||||||||||||||
Depreciation, depletion, amortization and impairment | 261,858 | 231,866 | 267,638 | 493,724 | 542,594 | |||||||||||||||
Merger and integration expense | 488 | 432 | 10,645 | 920 | 22,878 | |||||||||||||||
Adjusted EBITDA | $ | 231,216 | $ | 251,211 | $ | 323,735 | $ | 482,427 | $ | 698,773 | ||||||||||
Total revenues | $ | 1,219,320 | $ | 1,280,537 | $ | 1,348,194 | $ | 2,499,857 | $ | 2,858,554 | ||||||||||
Adjusted EBITDA by Operating Segment: | ||||||||||||||||||||
Drilling Services | $ | 153,249 | $ | 161,286 | $ | 174,719 | $ | 314,535 | $ | 356,676 | ||||||||||
Completion Services | 90,526 | 96,990 | 149,418 | 187,516 | 347,727 | |||||||||||||||
Drilling Products | 30,404 | 29,604 | 31,815 | 60,008 | 65,497 | |||||||||||||||
Other | 1,538 | 6,566 | 5,945 | 8,104 | 12,344 | |||||||||||||||
Corporate | (44,501 | ) | (43,235 | ) | (38,162 | ) | (87,736 | ) | (83,471 | ) | ||||||||||
Adjusted EBITDA | $ | 231,216 | $ | 251,211 | $ | 323,735 | $ | 482,427 | $ | 698,773 | ||||||||||
Adjusted earnings before interest, taxes, depreciation and amortization ("Adjusted EBITDA") is not defined by accounting principles generally accepted in the United States of America ("GAAP"). We define Adjusted EBITDA as net income (loss) plus income tax expense (benefit), net interest expense, depreciation, depletion, amortization and impairment expense (including impairment of goodwill) and merger and integration expense. We present Adjusted EBITDA as a supplemental disclosure because we believe it provides to both management and investors additional information with respect to the performance of our fundamental business activities and a comparison of the results of our operations from period to period and against our peers without regard to our financing methods or capital structure. We exclude the items listed above from net income (loss) in arriving at Adjusted EBITDA because these amounts can vary substantially from company to company within our industry depending upon accounting methods and book values of assets, capital structures and the method by which the assets were acquired. Adjusted EBITDA should not be construed as an alternative to the GAAP measure of net income (loss). Our computations of Adjusted EBITDA may not be the same as similarly titled measures of other companies.
PATTERSON-UTI ENERGY, INC.
Non-GAAP Financial Measures
Adjusted Free Cash Flow
(unaudited, dollars in thousands)
Six Months Ended | ||||||||
June 30, | ||||||||
2025 | 2024 | |||||||
Adjusted Free Cash Flow (1) : | ||||||||
Net cash provided by operating activities | $ | 347,890 | $ | 563,413 | ||||
Less capital expenditures | (306,037 | ) | (357,449 | ) | ||||
Plus proceeds from disposal of assets, including insurance claims | 28,344 | 9,321 | ||||||
Adjusted free cash flow | $ | 70,197 | $ | 215,285 | ||||
We define adjusted free cash flow as net cash provided by operating activities less capital expenditures, plus proceeds from disposal of assets, including insurance claims. We present adjusted free cash flow as a supplemental disclosure because we believe that it is an important liquidity measure and that it is useful to investors and management as a measure of the company's ability to generate cash flow, after reinvesting in the company, that could be available for financing cash flows, such as dividend payments, share repurchases and/or repurchases of long-term indebtedness. Our computations of adjusted free cash flow may not be the same as similarly titled measures of other companies. Adjusted free cash flow is not intended to represent our residual cash flow available for discretionary expenditures. Adjusted free cash flow is a non-GAAP financial measure that should be considered in addition to, not as a substitute for or superior to, cash flows from operations reported in accordance with GAAP.
PATTERSON-UTI ENERGY, INC.
Non-GAAP Financial Measures
Adjusted Gross Profit
(unaudited, dollars in thousands)
Three Months Ended | Six Months Ended | |||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | |||||||||||||||||
2025 | 2025 | 2024 | 2025 | 2024 | ||||||||||||||||
Drilling Services | ||||||||||||||||||||
Revenues | $ | 403,805 | $ | 412,860 | $ | 440,289 | $ | 816,665 | $ | 897,862 | ||||||||||
Less direct operating costs | (254,772 | ) | (247,629 | ) | (261,497 | ) | (502,401 | ) | (533,234 | ) | ||||||||||
Less depreciation, amortization and impairment | (112,647 | ) | (84,972 | ) | (98,607 | ) | (197,619 | ) | (190,952 | ) | ||||||||||
GAAP gross profit | 36,386 | 80,259 | 80,185 | 116,645 | 173,676 | |||||||||||||||
Depreciation, amortization and impairment | 112,647 | 84,972 | 98,607 | 197,619 | 190,952 | |||||||||||||||
Adjusted gross profit (1) | $ | 149,033 | $ | 165,231 | $ | 178,792 | $ | 314,264 | $ | 364,628 | ||||||||||
Completion Services | ||||||||||||||||||||
Revenues | $ | 719,332 | $ | 766,080 | $ | 805,373 | $ | 1,485,412 | $ | 1,750,370 | ||||||||||
Less direct operating costs | (619,083 | ) | (657,681 | ) | (653,240 | ) | (1,276,764 | ) | (1,398,834 | ) | ||||||||||
Less depreciation, amortization and impairment | (119,774 | ) | (115,826 | ) | (138,693 | ) | (235,600 | ) | (287,373 | ) | ||||||||||
GAAP gross profit (loss) | (19,525 | ) | (7,427 | ) | 13,440 | (26,952 | ) | 64,163 | ||||||||||||
Depreciation, amortization and impairment | 119,774 | 115,826 | 138,693 | 235,600 | 287,373 | |||||||||||||||
Adjusted gross profit (1) | $ | 100,249 | $ | 108,399 | $ | 152,133 | $ | 208,648 | $ | 351,536 | ||||||||||
Drilling Products | ||||||||||||||||||||
Revenues | $ | 88,390 | $ | 85,663 | $ | 86,054 | $ | 174,053 | $ | 176,027 | ||||||||||
Less direct operating costs | (49,335 | ) | (46,940 | ) | (46,147 | ) | (96,275 | ) | (94,777 | ) | ||||||||||
Less depreciation, amortization and impairment | (23,584 | ) | (22,876 | ) | (23,176 | ) | (46,460 | ) | (50,358 | ) | ||||||||||
GAAP gross profit | 15,471 | 15,847 | 16,731 | 31,318 | 30,892 | |||||||||||||||
Depreciation, amortization and impairment | 23,584 | 22,876 | 23,176 | 46,460 | 50,358 | |||||||||||||||
Adjusted gross profit (1) | $ | 39,055 | $ | 38,723 | $ | 39,907 | $ | 77,778 | $ | 81,250 | ||||||||||
Other | ||||||||||||||||||||
Revenues | $ | 7,793 | $ | 15,934 | $ | 16,478 | $ | 23,727 | $ | 34,295 | ||||||||||
Less direct operating costs | (6,173 | ) | (9,164 | ) | (10,280 | ) | (15,337 | ) | (21,458 | ) | ||||||||||
Less depreciation, depletion, amortization and impairment | (3,538 | ) | (6,336 | ) | (5,512 | ) | (9,874 | ) | (10,923 | ) | ||||||||||
GAAP gross profit (loss) | (1,918 | ) | 434 | 686 | (1,484 | ) | 1,914 | |||||||||||||
Depreciation, depletion, amortization and impairment | 3,538 | 6,336 | 5,512 | 9,874 | 10,923 | |||||||||||||||
Adjusted gross profit (1) | $ | 1,620 | $ | 6,770 | $ | 6,198 | $ | 8,390 | $ | 12,837 | ||||||||||
We define "Adjusted gross profit" as revenues less direct operating costs (excluding depreciation, depletion, amortization and impairment expense). Adjusted gross profit is included as a supplemental disclosure because it is a useful indicator of our operating performance.
Contact:
Michael Sabella
Vice President, Investor Relations
(281) 885-7589
SOURCE: Patterson-UTI Energy
View the original press release on ACCESS Newswire
FAQ
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